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More World Travelers Using LAX

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Times Staff Writer

More international travelers flew in and out of Los Angeles International Airport in the first three months of this year than in any previous first quarter in its 76-year history.

The record increase marks a milestone for LAX, the nation’s main gateway to Asia and its No. 2 point of departure for Latin America. The airport has been slower to rebound from the Sept. 11, 2001, terrorist attacks than most other major U.S. airports.

Low airfares, an early Easter holiday and a weak U.S. dollar, which encouraged more Europeans and Asians to travel here, boosted international traffic in the first three months of the year, even as domestic flights continue to lag.

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Just two years ago, the outbreak of SARS in Asia and the war in Iraq compounded a stubborn international travel downturn brought on by the terrorist skyjackings.

Today, flights are so full that several of the 56 carriers flying to foreign countries posted double-digit gains in the number of passengers in the first quarter over last year. And many are considering adding service or have already done so.

“It’s going to be a busy summer,” said Frank Clark, executive director of the organization that represents carriers at the Tom Bradley International Terminal.

Despite increased travel, most domestic airlines are still struggling to break even, hurt by fare cuts and soaring fuel prices. U.S. carriers have been looking to cash in on more lucrative international flights by adding service overseas and cutting domestic routes.

The increase in international travelers at LAX bodes well for the region’s economy, which relies heavily on dollars spent by foreign tourists in shops, hotels and restaurants.

International travelers comprised 17.5% of the 24.3 million visitors to Los Angeles last year, but spent about 28% of the $12 billion that visitors added to the economy, according to LA Inc., the city’s convention and visitors bureau.

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“They tend to spend more, that’s the bottom line,” said Christopher Heywood, manager of corporate communications at LA Inc. “They are our prized market.”

Shopkeepers at LAX said a better exchange rate has given travelers from Europe and Asia more pocket money, which they’re using to buy luxury items such as chocolates, cigars and liquor.

“Sales are increasing, for sure, with us,” said Joe Lyons, vice president of business development for Duty Free Shops, which operates 10 shops at LAX. “If Europeans come here, they find themselves with a lot of bargains.”

More international visitors are also expected to flock to Los Angeles in the second quarter to take advantage of several events and attractions.

“The King Tut exhibit at the Los Angeles County Museum of Art and the 50th anniversary of Disneyland, combined with the weaker dollar, has everyone in the tourism business very excited,” said Jack Kyser, chief economist for the Los Angeles County Economic Development Corp.

About 4.1 million international travelers passed through LAX in the first quarter, up 8.3% from the same period last year. The previous first-quarter record -- 4.05 million -- was set in 2001. The strongest quarter for international traffic ever at LAX was in the third quarter of 2000, when the airport logged 4.9 million international passengers.

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Some international carriers posted enormous increases in the last quarter. TACA International Airlines and Aeroflot Russian International Airlines logged about 30% more travelers, El Al Israel Airlines and China Eastern Airlines reported a 29% increase, and Virgin Atlantic posted a 26% gain.

Overall, passenger traffic at the world’s fifth-busiest airport rose 5.1% from January through March to 14.3 million, up from 13.6 million last year. The rise led airport officials to predict that LAX would see 64 million travelers this year and would completely recover from the 9/11 attacks by 2006.

Domestic passenger traffic at LAX was up 3.9% in the first quarter, with 10.2 million travelers, still short of the first-quarter record of 11.5 million travelers set in 2000.

Passenger traffic levels in the first quarter at the region’s smaller airports, which recovered more quickly than LAX after the skyjackings, also hit record levels.

Ontario International Airport, which is operated by Los Angeles, saw historic gains, with 1.6 million passengers in the first quarter, up 3.8% from last year.

In Burbank, Bob Hope Airport posted record highs thanks to new service from several airlines and a larger seating configuration introduced by Southwest. The airport logged 1.2 million travelers from January through March, up 7.6%.

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“In general, people seem to be feeling good about flying, and there are still competitive prices on the West Coast routes that dominate” at Bob Hope Airport, said Victor Gill, an airport spokesman.

At LAX, airport officials are planning a $225-million renovation of the 22-year-old Tom Bradley International Terminal, including upgrading the baggage system, fixing ailing elevators and escalators, and removing peeling paint, to accommodate record passenger levels. Construction is expected to start early next year.

Airlines are also modifying their facilities at LAX to better serve international travelers.

Air New Zealand, which saw strong business in the first quarter during its busiest travel season, said it’s doubling the size of its premier lounge in Terminal 2.

“If we hadn’t seen good growth, we wouldn’t be investing in that kind of development,” said Lucy Powell, communications manager for Air New Zealand. Powell said more Americans have become interested in traveling Down Under because of the popularity of the “Lord of the Rings” trilogy, which was filmed largely in New Zealand.

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